PaymentPlan with funds
Here's how the Zurich PaymentPlan works
Depending on your needs, you define:
1. The total investment amount
2. The investment strategy "Security," "Balanced" or "Growth"
3. The amount that you wish to receive as replacement income and the payment period
4. The date of the first payment
Did you know? In agreement with your financial consultant, you can pay in additional amounts and change the investment strategy or the amount and duration of the payments.
1. The total investment amount
2. The investment strategy "Security," "Balanced" or "Growth"
3. The amount that you wish to receive as replacement income and the payment period
4. The date of the first payment
Did you know? In agreement with your financial consultant, you can pay in additional amounts and change the investment strategy or the amount and duration of the payments.
Choose your investment strategy
Which of the following investment strategies best suits your needs?
Your questions – our answers
Here you will find answers to the most important questions from our customers.
FAQ
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How long will my savings last?
To answer this question, you need to compare expected annual income and expenses. The more your expenses exceed your income, the faster your savings will be depleted. As a basic rule, you can divide your assets by your financial needs per year: For example, if you have assets of 100,000 Swiss francs and spend 10,000 francs of this every year, the assets will be used up in about 10 years. The money will of course last longer if you achieve a positive return on your assets through good investments.
In general, it is worth planning your income and expenditure situation in detail with a specialist, even for the time after retirement. This will help you avoid nasty surprises.
What is capital consumption?
Capital consumption means that you use up the capital you have saved after retirement. The more your expenses exceed your income, the faster your capital will be consumed. If you invest your money wisely, for example in a PaymentPlan, you will usually earn a return and your capital will last longer.
What is a PaymentPlan?
With a PaymentPlan, you as an investor can have regular amounts paid out from your retirement capital. With these payments you can supplement the benefits received from the OASI system and your pension fund. This enables you to increase your monthly disposable income.
How does a Zurich PaymentPlan work?
Thanks to the Zurich Invest PaymentPlan, you receive additional income on top of the OASI and pension fund benefits for the term agreed. So you can enjoy even more financial freedom in the time after your retirement.
You can fund the PaymentPlan with a single premium or multiple deposits. You can choose between three investment strategies: "Security," "Balanced" or "Growth" – depending on your risk tolerance and return expectations.
The minimum deposit is 20,000 Swiss francs and the minimum pension payment is 200 francs.
What is the difference between a PaymentPlan and a life annuity or retirement pension?
In a PaymentPlan, customers receive regular payments for a defined period of time. Depending on the investment returns, the payment term may be extended or shortened, as payments are made until the capital has been completely used up. With a retirement pension, customers receive lifelong payments. The regular distributions or payments are, however, usually lower because of this. A retirement pension is of particular interest for people who expect to live for an above-average period of time. A tax-efficient solution could be a PaymentPlan combined with a deferred retirement pension, which covers the longevity risk.
At what age can I take out a PaymentPlan?
In general, all Swiss residents can take out a PaymentPlan. Such a plan is of particular interest for people between the ages of 50 and 65 who want to achieve financial freedom after retirement.
Can I pay in money on a monthly basis?
Yes, you can make additional deposits and thus increase the capital in the PaymentPlan.
How can I have the money paid out?
You can choose between an annual, semi-annual, quarterly or monthly payment.
Whom is the PaymentPlan suitable for?
- People between the ages of 50 and 65 who want to improve their retirement provision.
- People who want to reduce their tax burden in old age.
- People who are considering a capital withdrawal from their pension fund assets.
How safe are my invested assets?
Zurich Invest Ltd is the company behind the Zurich Invest PaymentPlan: It manages more than 40 billion Swiss francs and, as a fund management company, is subject to supervision by the Swiss Financial Market Supervisory Authority (FINMA).
Assets are invested with Zurich Invest Asset Management, where they are professionally invested. With PaymentPlans with immediate payouts, an amount equal to three annual withdrawals must be deposited in an account. This ensures payments can be made during the first three years without having to sell fund assets.
Investment funds are, in principle, subject to value fluctuations and currency risks. Unfavorable market performance can shorten the duration of your payments. Thanks to the automatic reallocation of assets to lower-risk investments 10 and five years before expiration, your investment risk is reduced.
What's more, you also have a choice of three investment strategies – depending on how much risk you are willing to take and what return you expect.
What taxes do I have to pay on a PaymentPlan?
With a PaymentPlan, you enjoy tax advantages compared with traditional life annuities: The regular withdrawals from your capital are tax-free. You only have to pay tax on interest and dividend income during the term of the PaymentPlan.
What are my advantages if I choose the Zurich PaymentPlan?
- With a single investment, you will receive regular distributions.
- Zurich Invest Ltd invests your money professionally and selects independent fund managers according to the "best-in-class" approach.
- You can take out a PaymentPlan for two people. The PaymentPlan will then continue if one person dies.
- You choose the investment strategy that fits you.
- Thanks to active asset management, you have attractive return opportunities.
- Payment of the available capital is possible at any time.
- You can pay in additional amounts during the term and also adjust the amount and duration of withdrawals as needed.
What investment strategies does the Zurich Invest PaymentPlan offer?
- Security strategy: The focus here is on stability, the investment risk is limited and so are the opportunities for returns.
- Balanced strategy: This offers better return opportunities combined with a somewhat higher investment risk.
- Growth strategy: The focus here is on the long-term growth of the assets. This strategy is suitable for risk-tolerant investors with a long investment horizon.
Is it possible to change the investment strategy during the contract term?
Yes, you can adjust your investment strategy if necessary. To do so, simply contact your personal adviser.
Advising you
Combining additional payments and attractive potential returns. We would be glad to advise you.
Pension guide: Carefree retirement
Our guide articles feature useful information about retirement.
Plotting your financial future
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